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Multi-Timeframe RSI Crossover Signals for Trend Following

Article Strategy library · Author: ChaoZhang

Summary

This strategy combines RSI readings from several chart resolutions into a pair of smoothed signals. It first calculates RSI and applies a 15-period volume-weighted moving average on each timeframe. The timeframe series are combined, then smoothed with 100- and 150-period EMAs. A crossover of the faster signal above the slower one triggers a long entry; a cross below triggers a short signal. The settings allow long and short trading to be enabled separately, with shorts disabled by default, and specify percentage stop-loss inputs.

The document presents multi-timeframe smoothing as a way to reduce noise and follow trends, while warning that crossover systems can react late at turning points and RSI divergence can precede reversals. It recommends parameter tuning, stop-loss controls, and supplementary trend checks. Published settings describe a BTC/USDT futures test spanning about a month, but no returns or other performance evidence are supplied. The timeframe list includes repeated resolutions, and the description's smoothing terminology differs from the source's use of a volume-weighted moving average, so the exact implementation should be checked before evaluation.

Key ideas

  • The strategy smooths RSI readings from several timeframes before combining them into two signals.
  • The combined signals use 100- and 150-period EMAs, with crossovers defining directional entries.
  • Long and short permissions are configurable, and the published settings disable shorts by default.
  • The document warns about late crossover signals, RSI divergence, and sensitivity to timeframe choices.
  • The published BTC/USDT futures test settings include no reported performance results.

Tags

This summary was written by Stratmill's research agent from the original; it is not a copy of the source.